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Wind turbine manufacturer Gamesa (Zamudio, Vizcaya, Spain) announced on July 8 the inauguration of its first manufacturing base in Brazil, in the town of Camaçari in north-eastern Bahía. With this, the company has begun to make wind turbines in Brazil, just six months after it announced its decision to establish a manufacturing and sales presence in this country with the ultimate aim of making Brazil one of its core medium-term growth markets.

With productive capacity of 400 MW, Gamesa's new plant assembles nacelles for 2.0 MW wind turbines (G9X and G8X). Gamesa's industrial activity in this Brazilian town will create 100 direct jobs and will contribute to the development of the Brazilian wind power industry; ultimately, local suppliers will account for as much as 60 percent of the components used by the company to produce its wind turbines in Brazil.

At the opening ceremony, Jorge Calvet, chairman and CEO of Gamesa, noted that "start-up of production in Bahía is the lynchpin of our commitment to participating in the development of wind energy in Brazil, energy that is sustainable and competitive, guarantees the supply of safe power and is proving a key engine in economic and social development across the globe."

Gamesa says its strategy in Brazil is to cement its position among the main wind energy manufacturing groups, to increase penetration of local developer contracts (international utilities and independent developers) and to build a meaningful sales, manufacturing and O&M network.

The reactivation of the Brazil market has been spurred to date in two supply agreements covering 300 MW for the wind farms to be developed in Brazil by Iberdrola Renovables and Corporación Inveravante. Specifically:

Gamesa will supply Iberdrola Renovables with wind turbines with total capacity of 258 MW for nine wind farms in the utility's pipeline in Brazil. Gamesa has been commissioned to install 129 G8X-2 MW wind turbines between 2011 and 2012. The scope of the agreement includes turbine supply, transport, assembly, start-up and maintenance for two years

Gamesa will supply Corporación Inveravante turbines with capacity of 42 MW at the Dunas de Paracuru wind farm under development in the state of Ceará, Brazil. This agreement encompasses 21 G87-2.0 MW turbines to be delivered over the course of 2H11. The contract includes turbine supply, transport, assembly, start-up and maintenance for a 10-year term.

Meanwhile, Gamesa has set up the subsidiary that will cover all of Mercosur in Sao Paulo, under the umbrella of its strategy of entering new emerging markets that offer high growth potential. Brazil is being configured as the manufacturing and operating platform from which Gamesa will develop its business in neighbouring markets such as Argentina, Chile and Uruguay, all of which have new wind projects in the pipeline.

Brazil presents the highest growth potential in South America: accumulated installed capacity at year-end 2010 stood at 931 MW, while the pipeline to 2013 totals 4,000 MW, according to the Brazilian wind power trade association.